Frequently Asked Questions
What is WAD Capital and how does it differ from typical private equity firms?
WAD Capital is an operator-led investment firm that focuses on management transitions in healthy SMEs. Instead of handing you a “pre-made” deal, we empower you—the future CEO—with the capital, tools, and guidance to source, negotiate, and acquire a company where the current owner is retiring or stepping down. Our approach combines elements of traditional private equity and the Stanford Search Fund model, but with a strong emphasis on the CEO’s operational leadership.
What exactly is the CEO-in-Residence (CIR) Programme?
The CIR Programme is a 12 month journey where you:
Deep-dive into a chosen industry,
Source and negotiate an acquisition,
Become CEO of the acquired SME upon closing.
We provide you with a monthly management fee during the search, the full financing for the acquisition, and a carried interest stake in the acquired business.
Do I need to have capital to invest myself?
WAD Capital finances the acquisition. However, you are free to co-invest if you wish. Your upside is primarily through a carried interest (20% of the value created).
What are the main steps of the programme?
Application & Selection: You apply, have initial calls, and create an Investment Memo.
Investment Memo & IC Approval: You present your sector thesis to our partners and then our Investment Committee grants the final green light to unlock your search budget.
Search & Deep-Dive: You refine your chosen sector via a rigorous industry analysis.
Deal Sourcing: You proactively reach out to ~250 SMEs in your niche. We guide you with the screening methodology and tools.
Due Diligence & Closing: Once a target is found and an LOI signed, we fund the legal, financial, and operational due diligence. After final approval, we close.
Post-Acquisition: You step in as CEO with a predefined salary plus a carried interest stake.
What does the monthly management fee cover during the search?
You receive a monthly management fee for the first 12 months of your search, drawn from the total allocation. After 12 months, if no deal is closed, the monthly fee decreases to incentivise a timely acquisition.
How is my compensation structured post-acquisition?
Upon closing, you become CEO with a competitive salary (depending on the company’s size, margins, etc.) plus a bonus scheme. Additionally, you receive carried interest on the value you create, vested in three stages:
1/3 at acquisition closing,
1/3 after four years (subject to certain milestones),
1/3 upon successful exit at or above a 35% IRR.
Do I need to be a sector expert?
Not necessarily, but you must pick a vertical where you have a credible “right to win.” This could stem from:
Past operational experience in that sector,
Functional expertise highly relevant to the target industry,
Deep personal network or specialised knowledge that gives you credibility with sellers.
What size of company am I expected to acquire?
We target SMEs with:
EBITDA between €1–5 million,
At least 10% EBITDA margin,
Typically 10–100+ employees,
Stable or recurring revenue models.
We avoid heavily distressed or purely asset-heavy businesses.
Which sectors does WAD Capital focus on?
We invest in:
Healthcare & Related Services (including distribution, specialised providers, etc.),
Energy Transition & Circularity (green economy, recycling, mobility, etc.),
Business Services (fragmented services with healthy margins).
We avoid startups, distressed assets, or purely real estate deals.
Where are these companies located?
Currently, we focus on SMEs located within ~300 km of Brussels, covering Benelux and nearby regions. We require regular in-person collaboration, so you should be willing to operate within that geography.
How long does the programme last?
The total programme can last up to 24 months, but the aim is for you to find and close a deal within 6–12 months.
If you remain in the search beyond 12 months, your monthly fee decreases.
If you still haven’t closed a deal after 18–24 months, we reevaluate the path forward.
How do I know if I’m a good fit for the CIR Programme?
Mid-career or senior executive experience,
P&L responsibility or strong leadership track record,
A desire to operate and scale a real SME (not a startup),
Willingness to learn a new sector in-depth (if needed) and commit full-time to the search and the subsequent CEO role.
I’ve never done M&A or negotiations at this level. Is that a problem?
Not necessarily. We provide the framework, templates, and mentorship. You’ll also be part of a cohort that shares learnings. Our partners and network help with due diligence, legal structuring, and negotiations.
How does WAD Capital make money?
We are structured like a private equity fund. We earn a management fee from our LPs and carry upon successful exits.
How does the application and selection process work?
Online Application (basic info + CV).
Initial Screening Call to discuss your background, motivations, and “right to win.”
Deep-Dive Call with a partner to confirm alignment and readiness.
Investment Memo: You’ll draft a 10–15 page sector thesis or “mini business plan” for your future acquisition strategy.
Memo Presentation: You pitch your thesis to the entire partnership.
Investment Committee: Final approval to unlock the search budget.
Contract Signing: We formalise the 12 month programme and carried interest terms.
Do I have to quit my current job before starting the search?
Yes. We expect a full-time commitment once you officially sign up to the programme and start drawing the monthly management fee. Part-time searching typically doesn’t generate the velocity needed to close within 12 months.
Is the CEO-in-Residence role a direct employment with WAD Capital Partners?
No. You will not be employed by WAD Capital Partners. Instead, you’ll set up (or use) your own management company and enter into a commercial arrangement with WAD Capital. You’ll invoice WAD Capital for your monthly management fee during the search phase.
What if I can’t find a suitable company to acquire?
We aim to help you close within 12 months.
If no deal materialises after 12 months, your monthly fee decreases.
After 12 months, we collectively decide whether to extend or conclude your search.
Can I do multiple acquisitions or roll-ups?
Potentially, yes. If your first acquisition is robust and your skill set supports a buy-and-build strategy, we can fund add-on acquisitions. This is determined case by case, depending on synergy, capital needs, and your capacity to integrate multiple acquisitions.
How do I handle HR transitions post-acquisition?
One of your first tasks post-acquisition is to address any leadership gaps or structural inefficiencies. We emphasise respectful transitions—especially if the retiring founder still wants a partial role or if key employees need reassurance. We provide guidance, but day-to-day leadership is yours.
What happens at exit?
Our typical holding period is 5–7 years. When a larger PE fund or strategic buyer acquires the company, you (as CEO) will general be required to stay under the new ownership. You realise your carried interest upon exit, providing liquidity if you are required to reinvest.
Is there a cohort or peer group aspect?
Yes. We typically onboard a cohort of 10–20 CIRs per year. You meet regularly—often twice a week or so—for workshops, deal reviews, or brainstorming. This fosters peer learning, accountability, and shared best practices.
Which sectors does WAD Capital focus on?
We invest in:
Healthcare & Related Services (including distribution, specialised providers, etc.),
Energy Transition & Circularity (green economy, recycling, mobility, etc.),
Business Services (fragmented services with healthy margins).
We avoid startups, distressed assets, or purely real estate deals.
Where are these companies located?
Currently, we focus on SMEs located within ~300 km of Brussels, covering Benelux and nearby regions. We require regular in-person collaboration, so you should be willing to operate within that geography.
Does WAD Capital support me with day-to-day tasks during the search?
We provide:
Legal & Financial templates,
CRM or pipeline software,
Weekly or bi-weekly check-ins,
Mentorship from partners and peers,
Marketing materials for outreach.
You are responsible for actually reaching out, scheduling meetings, building relationships, and driving negotiations.
Are there any specific language or work permit requirements?
You should be able to operate in English at a high level. If you focus on local deals, we believe local language skills are beneficial. Non-EU candidates must ensure they have the right to work in the region.